The European Commission plans a significant overhaul of financial markets regulation, granting the European Securities and Markets Authority (ESMA) direct authority over stock exchanges, cryptocurrency companies, and clearinghouses. ESMA Chair Verena Ross explains that this initiative aims to address decades-long fragmentation in EU financial markets and foster a more integrated and globally competitive capital market. Currently, crypto asset service providers (CASPs) are primarily regulated at the member state level under the MiCA framework. However, ESMA argues that this decentralized approach is inefficient and poses a risk to consumer protection. Opposition has emerged from smaller countries like Luxembourg and Malta, which fear centralized control could damage their local financial industries.